Microsoft’s next console will require an Internet connection in order to function, ruling out a second-hand game market for the platform. A new iteration of Xbox Live will be an integral part of Microsoft’s next console, while improved Kinect hardware will also ship alongside the unit.

Sources with first-hand experience of Microsoft’s next generation console have told us that although the next Xbox will be absolutely committed to online functionality, games will still be made available to purchase in physical form. Next Xbox games will be manufactured on 50GB-capacity Blu-ray discs, Microsoft having conceded defeat to Sony following its ill-fated backing of the HD-DVD format. It is believed that games purchased on disc will ship with activation codes, and will have no value beyond the initial user.

Our source has also confirmed that the next Xbox’s recently rumoured specs are entirely accurate. That means an AMD eight-core x64 1.6GHz CPU, a D3D11.x 800MHz graphics solution and 8GB of DDR3 RAM. As of now, the console’s hard drive capacity is said to be undecided, but Microsoft’s extended commitment to online delivery suggests that it will be the largest unit it has put inside a console to date.

Though the architectures of the next-gen Xbox and PlayStation both resemble that of PCs, several development sources have told us that Sony’s solution is preferable when it comes to leveraging power. Studios working with the next-gen Xbox are currently being forced to work with only approved development libraries, while Sony is encouraging coders to get closer to the metal of its box. Furthermore, the operating system overhead of Microsoft’s next console is more oppressive than Sony’s equivalent, giving the PlayStation-badged unit another advantage.

Unlike Nintendo, Microsoft is continuing to invest heavily in motion-control interfaces, and a new, more reliably responsive Kinect will also ship alongside the next Xbox. Sony’s next-generation console camera system is said to have a similar set of features, and is expected to be discussed at the company’s PlayStation event on February 20.

You can read more about how Sony’s next generation console compares in last week’s story, PlayStation 4 revealed.

Oh dear, of the three I thought Sony would be the first to implement something like this, if Sony doesn't have it then its game over before the battle has even begun. How can you justify having everything behind a Gold subscription paywall as well as not allowing second hand games.

If Sony does implement something like this then I've just saved myself £350 come year end.

It's probably going to be similar to the online passes that some games have this generation, you might be able to buy a second hand game and then pay a nominal fee to allow you to play it.

always online? wtfso what happens if you dont have internet? you cant play anything? not even offline?

I would suspect you need online to register each game, then afterwards that game can be played offline on that console only. It would be absolute suicide to not have some sort of offline mode in todays world.

Still sucks though, I used to like trading in games I never played anymore for a new one.
I guess if you can afford a console you can afford internet but its not the point some people cant get broadband which this would probably need.

Doesn't surprise me, they've been looking to kill the second hand market for a long time but I actually think it will back fire and just increase piracy. I am sure they are both hoping their new systems are as resistant to hacking as the ps3 was for so long but I somehow doubt it.

"Microsoft’s next console will require an Internet connection in order to function, ruling out a second-hand game market for the platform."

That statement doesn't completely make sense to me. Just because you have to have an internet connection doesn't necessarily have to mean there will be no second-hand market...those are two complete separate things. Maybe there will in fact be no second-hand game market but it won't ONLY be because your XBOX must be connected.

**********ers! buying second hand games is something essencial... when ur friend get that game no one has and borrows you, its amazing (was)... this is really stupid.. seems like they dont have a lot of money already and need to rip us off even more. scumbags.

for the always online, its also stupid... even just for register the game (you should be able to skip registration and register when you feel like)

I am ok with the no 2nd hand game thing. I don't buy used games for a few reasons. I used to work for gamestop so I know how the trade in scam works and how some customer trade ins can be extremely disgusting to take in due to roaches and other grime. Also if there is a game I want buying it first hand means the developer gets the money.

What I do see happening with this is game prices will have to drop and the quality of games will have to go up. We will have very little shovel ware in the future.

"Microsoft’s next console will require an Internet connection in order to function, ruling out a second-hand game market for the platform."

That statement doesn't completely make sense to me. Just because you have to have an internet connection doesn't necessarily have to mean there will be no second-hand market...those are two complete separate things. Maybe there will in fact be no second-hand game market but it won't ONLY be because your XBOX must be connected.

It says later

It is believed that games purchased on disc will ship with activation codes, and will have no value beyond the initial user.

I've never brought a second hand game or sold one, so it won't affect me personally, but I can understand why some may be annoyed.
The internet thing is annoying, quite often I can't play PC games which have the always connected DRM thing, so if the new consoles are like that it will be a shame as well.